1. What is the State of Connecticut Pension Formula?

The State of Connecticut pension formula calculates the annual pension benefit for state employees based on years of service and final average salary. The formula uses a 1.625% multiplier to determine the retirement benefit.

2. How Does the Calculator Work?

The calculator uses the Connecticut pension formula:

Where:

• \( YS \) — Years of Service
• \( FAS \) — Final Average Salary (USD)
• \( 1.625\% \) — Pension multiplier (0.01625)

Explanation: The formula multiplies the years of service by the final average salary and applies the 1.625% multiplier to calculate the annual pension amount.

3. Importance of Pension Calculation

Details: Accurate pension calculation is crucial for retirement planning, financial security, and understanding future income streams for state employees in Connecticut.

4. Using the Calculator

Tips: Enter years of service (can include decimal values for partial years) and final average salary in USD. Both values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: What is included in Final Average Salary?
A: Final Average Salary typically includes the average of the highest consecutive years of earnings, often the last 3-5 years of employment.

Q2: Are there maximum years of service limits?
A: Most pension plans have maximum service limits, typically around 35-40 years. Check specific Connecticut state retirement system rules.

Q3: Can the multiplier change?
A: Pension multipliers are typically fixed by legislation but can change for new employees or through legislative action.

Q4: Are there early retirement reductions?
A: Yes, retiring before normal retirement age may result in reduced benefits. Check specific age and service requirements.

Q5: Is this calculator official?
A: This is an estimation tool. For official pension calculations, consult with the Connecticut State Employees Retirement System.